A second mortgage is a loan that is secured by the equity in your home. When you get a second mortgage loan the lender will place a lien on your house. This privilege will be recorded in 2nd position after privilege of your mortgage lender or first primary, hence the second term mortgage.
A second mortgage is also sometimes considered a home loan. There is no difference between a mortgage and a second mortgage. These are two different terms for the same subject.
A second mortgage can be either a fixed rate loan or line of credit adjustable rate. Interest rates and terms of the loan program vary from lender to lender so it is important to shop around and compare before committing to any single offer.
The loan of a second mortgage loan can be used for anything. Many consumers take out 2nd mortgages to consolidate debt, make home improvements or pay for their college kids. Whatever you decide to do with your loan proceeds, it is important to remember that if you default on your payment, you may lose your home if you want to make sure you take the loan for a purpose valid.
Another advantage of a second mortgage loan is that the interest you pay on the loan may be tax deductible. Consult your tax advisor regarding your personal situation, but in most cases the interest is 100% fully deductible as long as the combined loan to value of your first and second mortgage does not exceed the value of your home ..
Article Source: http://EzineArticles.com/?expert=Levetta_Rivera
A second mortgage is also sometimes considered a home loan. There is no difference between a mortgage and a second mortgage. These are two different terms for the same subject.
A second mortgage can be either a fixed rate loan or line of credit adjustable rate. Interest rates and terms of the loan program vary from lender to lender so it is important to shop around and compare before committing to any single offer.
The loan of a second mortgage loan can be used for anything. Many consumers take out 2nd mortgages to consolidate debt, make home improvements or pay for their college kids. Whatever you decide to do with your loan proceeds, it is important to remember that if you default on your payment, you may lose your home if you want to make sure you take the loan for a purpose valid.
Another advantage of a second mortgage loan is that the interest you pay on the loan may be tax deductible. Consult your tax advisor regarding your personal situation, but in most cases the interest is 100% fully deductible as long as the combined loan to value of your first and second mortgage does not exceed the value of your home ..
Article Source: http://EzineArticles.com/?expert=Levetta_Rivera
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